FICA Tip Tax Credit: Recover Thousands in Food Service Payroll Taxes
Restaurant and bar owners pay 7.65% employer FICA payroll taxes on employee tips. IRS Section 45B grants a dollar-for-dollar tax credit on eligible FICA taxes paid on qualifying tips.
FICA Tip Credit Mechanism
Federal Business Tax Credit
Why Restaurant Owners Should Review Form 8846
Food and beverage businesses may overlook valuable tax credits when payroll and tip reporting are not properly reviewed for Section 45B eligibility.
Direct Tax Liability Reduction
The Section 45B credit can reduce eligible federal income tax liability directly rather than functioning only as a deduction.
POS & Payroll System Sync
We review POS tip reporting and payroll records to help accurately identify and calculate qualifying tip amounts for the credit.
Unused Credit Carryforward
Eligible unused credits may be subject to the federal general business credit carryback and carryforward rules.
Do You Own a Restaurant, Bar, or Food Service Business?
Let TaxCap review your payroll and tip reporting to identify potential FICA Tip Credit savings. Schedule a 15-minute consultation.
Book FICA Tip Consultation